Vendor Returns

[Former Member]

Hi All,

Can some one help to understand the below scenario. And also tell me through which T ocde its possible and what will be the accounting entries.

If we receive product in, the vendor will bill us for the product received, say EUR 1,500. If we need to send some back, EUR 100, what transaction occurs in the system? The inventory will be credited by EUR 100 and does the debit hit GRIR? We may not receive a debit memo from the vendor to offset the invoice originally received so AP will end up paying EUR 1,500.

Regards,

Kiran

Edited by: kiran choube on Jun 26, 2009 11:34 PM

[sanilbhandari · Accepted solution]

Hi

The scenario is quite easy in case of Vendor returns. After the GRN has been done, please do a returns delivery in T Code MIGO itself. The accounting entry that would be passed by the system is:

GR/IR Clearing A/c Dr

To material A/c

Now pass a credit memo through MIRO with reference to the PO, system would pass the accounting entry

Vendor A/c Dr

TO GR/IR Clearing A/c

Regards

Sanil Bhandari